LeapFrog Investments raises over Kshs17Billion for emerging consumer fund, as insurers and asset managers tap new source of growth and profits

·         LeapFrog Fund II will focus on eight markets in Africa and Asia, including Nigeria, Kenya, Ghana, South Africa, India, Indonesia, Sri Lanka and the Philippines.

·          LeapFrog has already invested US$13m in East African insurance group Apollo IL, and is actively seeking further investments in Kenyan companies

·         Investors include major insurance groups - Swiss Re, PartnerRe, MetLife Inc., Prudential, XL Group and Achmea - and global banks and asset managers such as JPMorgan Chase & Co. and TIAA-CREF

LeapFrog Investments, the emerging markets fund manager, today announced the initial raise of US$204 million (Kshs17.5B) for its second fund. The fund will invest in companies in Africa, South Asia and Southeast Asia that provide financial services such as insurance, savings, pensions and investment products to emerging consumers. Several of the world’s largest insurers, reinsurers, banks and asset managers have invested in the first round.

“The entry of these leading financial institutions indicates the increasing attractiveness of the emerging consumer segment – the millions of people eager to join the middle class but who are not there yet,” said Dr. Andrew Kuper, LeapFrog Investments’ President and Founder. “There are 1.9 billion emerging consumers in LeapFrog’s target regions, and their spending power is forecast by McKinsey & Co to rise from $2 trillion today to $5 trillion in the coming decade. Financial services are crucial springboards for households and businesses, but access is very limited. LeapFrog backs the best companies to serve this vast and untapped market.”

Doug Lacey, who leads LeapFrog's work in East Africa, said "Kenya is showing the way in innovative financial services solutions for the emerging consumer, and we anticipate making significant further investments in leading local companies."

Insurance groups that have invested in the initial raise include MetLife Inc., Prudential, XL Group, Achmea, PartnerRe and Swiss Re. Global banks and asset managers that have committed include JPMorgan Chase & Co., Christian Super and TIAA-CREF. The fund also obtained backing from five of the world’s leading development finance institutions: CDC, DEG, European Investment Bank, FMO, and Oikocredit.

The capital was raised in just eight months. Many participants are repeat investors from LeapFrog’s first fund, a US$135m vehicle, with some now doubling or tripling their allocation.

To date, LeapFrog’s portfolio companies have reached over 18 million people across 13 countries with financial products. LeapFrog’s track record includes partnering with major brands such as Apollo IL in Kenya, Mahindra IBL and Shriram CCL in India, and ARM in Nigeria.

The new fund aims to make equity investments of up to US$60m, and will continue to focus on LeapFrog’s priority markets of Kenya, South Africa, Nigeria, Ghana, Indonesia, the Philippines, India and Sri Lanka. Financial services growth in these markets in 2012 was on average 17.4%, over four times nominal global GDP growth, representing a sustained bright spot for emerging markets.

LeapFrog Investments will continue to be guided by a business philosophy of profit-with-purpose, combining strong financial returns with robust social impact. “Crucially, 12 million of the 18 million consumers our companies have reached so far are emerging consumers, living on less than US$10 per day,” said Kuper. “We are demonstrating that smart businesses that provide empowering products to emerging consumers actually grow faster and more profitably than their peers.” 

Nestlé Professional hosts premier hospitality showcase

Top Chefs in the country will Battle it out in a showcase of the country’s best culinary talent

Leading food and beverage provider for the out-of-home segment, Nestlé Professional today launched their premier Chefs Forum, targeting the country’s leading chefs in the Hotel and Hospitality industry.

Top Chefs will battle it out on the best cuisine and recipes, using the MAGGI Rich Flavors and Cubes range.  The Nestlé Professional Chefs Forum is a preamble to the Hospitality and Food Service trade exhibition (HOSTEX), an acclaimed event that will be held from 29-31^st October 2013.  The final selected Chefs will showcase their culinary prowess at the HOSTEX.“The Chefs Forum is a platform for participants to discover and showcase their outstanding skills, and a motivating factor to excellence in the country’s Hospitality industry” said Rabie Issa - Nestlé Professional Country Business Manager

“Our motivation to set up the forum is because we have been a part of Kenya’s Culinary journey and intend to continue playing an integral role in the industry.   This is a chance to build long-lasting relationships, share knowledge and insights with the players in the hospitality industry, especially the Chefs who are the opinion shapers in this business,” added Issa.

At the Nestlé Professional Forum, the Chefs will be provided with MAGGIÒ samples and required to come up with food recipes and cuisine of their choice.  The winning recipes will then be showcased in cooking demos by respective chefs during the Hostex East Africa Exhibition in October.  The top chefs going head to head will be main attraction at the Hostex Exhibition as the participants battle it out for 3 top prizes, namely: a trip to the 2014 Hostex Expo in Johannesburg, a trip to Electrolux in Venice, Italy, and a trip Brussels which includes a three day seminar in Groot-Bijgarden, Belgium.

“The Chef’s Competition will contribute towards promoting talent and innovative ideas to enhance service delivery in the industry,” added Nestlé Head Chef Joseph Onchwati.

The East African Hostex expo will be looking at drawing on the reputation, success and experience of organizing other Hostex exhibitions in Johannesburg and Cape Town, which have been running for the past 26 years.

The Chef’s forum looks to provide the best opportunity for face-to-face product promotion in the hospitality industry drawing attendance by key decision-makers and sharing experiences in the foodservice & hospitality sector in the country.

DHL employees in Kenya mark Global Volunteer Day with community investment activities

DHL Kenya part of Deutsche Post DHL, the world’s leading postal and logistics group, last weekend marked its corporate Global Volunteer Day that saw over 150 employees engage in community projects. 

“DHL is passionate about giving back to the community and Global Volunteer Day is a priority for our company. Our project locally is not only aligned to this global enthusiasm and our international goals and approach, but also fits into the national agenda, creating hope for local communities and the people of Kenya”, says Alan Cassels, country manager, DHL Express.

During the events, DHL visited Kwetu home of peace-A rehabilitation center for former street boys where the company donated foodstuff, clothes, fixed an irrigation system and planted trees. Others visited a home for the elderly where they also donated dry food, adult diapers and microwaves among other things. About 100 high school boys and girls had their life skills enhanced through a team building program with DHL Staff and Young Success Kenya (YSK). In Mombasa DHL partnered with the local community to fix a class room floor for the young school children within the underprivileged parts of society.  

“At DHL we believe that people are our greatest resource and the company aims to encourage employees to actively participate in community efforts, as well as inspire the spirit of volunteerism,” added, Mr.  Cassels.

Introduced in Asia Pacific in 2008, Volunteer Day has expanded into Americas, Middle East, Africa and Europe over the years, and continues to build on its success by involving more employees than ever before. In 2012, the initiative was rolled out globally with tremendous success – 62,000 volunteers in about 120 countries and territories participated in more than 1,000 community programs.

For Global Volunteer Day 2013, Deutsche Post DHL offices around the world are participating in many diverse community projects in support of various local causes. These programs deliver to the company’s three Corporate Responsibility programs – GoTeach (championing education), GoGreen (protecting the environment) and GoHelp (delivering help).

“Global Volunteer Day is a key part of our sustainability focus and an integral part of our company’s commitment to deliver its Corporate Responsibility strategy through GoGreen, GoHelp and GoTeach,” comments Mr. Cassels.

Nokia Lumia 925 now available across East Africa

Nokia today announced availability of the Nokia Lumia 925 across East Africa. The Nokia Lumia 925 introduces a metal design and showcases the latest PureView camera innovation, new features and third party applications coming to the Nokia Lumia range.

The Nokia Lumia 925 is available initially in black with an estimated retail price of:

Kenya – KES 51,500

Uganda – UGX 1,500,000

Tanzania – TZS 960,000

The Nokia Lumia 925 captures the best low light images and clearer, sharper video thanks to the most advanced lens technology and next generation imaging software. The Nokia Lumia 925 features the Nokia Smart Camera app, offering an easy way to capture ten images at once and edit the pictures anytime afterwards with options like Best Shot and Action Shot. 

With an aluminium frame around the 4.5 inch display, the Nokia Lumia 925 offers unique benefits like increased robustness. A wireless charging cover, which will shortly also be available for purchase in country, comes in white, black, yellow, and red can be clipped onto the back of the phone to take advantage of Nokia’s extensive wireless charging accessories and ecosystem.

An additional feature now available for Lumia smartphones is the Nokia Glance Screen introducing the standby screen clock. Now, with a quick look and without pushing any buttons, owners can see the time or the battery level indicator on the screen when the phone is not used. A double tap on the standby screen now wakes the phone up, making it easier to unlock.

The suite of integrated location and navigation services include HERE Drive+ and HERE Maps. Additionally, HERE Maps with augmented reality view is available in the Store for download.

“We continue to build on the Nokia Lumia portfolio at every price point across East Africa,” says Bruce Howe, General Manager for Nokia East Africa. “The Nokia Lumia 925 is a beautiful high end smartphone, offering amazing imaging technology and applications. It will provide more of the premium experiences that consumers have come to love and expect from Nokia Lumia smartphones.”

Jubilee Insurance and Bupa International Launch a Regional International Private Health Insurance Product

East Africa’s largest insurance group, Jubilee Insurance and leading international healthcare company, Bupa International, today launched a new international health insurance product dubbed Explorer Health Plan.

Explorer will seek to provide health insurance services to the growing middle-class, mid-level executives, and expatriates living in Kenya and travelling in and around Africa, including those seeking treatment in South Africa, India, Pakistan and Sri Lanka. The new healthcare insurance product will be available under the Business Explorer Health Plan for corporates and Explorer Health Plan targeting individual clients.

Speaking during the launch, Jubilee Holdings Chairman Mr. Nizar Juma said, “Explorer is a regional plan from an international company designed to bring it within the reach of senior and middle executives specifically designed for the Africa market and it offers great value for money by providing both individual and corporate access to world class medical facilities.”

He added that the partnership with Bupa will enable Jubilee Insurance to meet the growing demand for international medical insurance products and provide a one-stop shop for medical cover to major corporations, private individuals and families in the region.

Some of the unique benefits of Explorer Plan include a full range of health screening providing valuable early detection of conditions such as cancer, without lifetime limits for eligible treatment for chronic diseases, such as heart disease, stroke, cancer and diabetes, ensuring continued access to treatment for as long as a customer is on the plan.

 Other benefits include cover for eligible treatment for HIV and AIDS including related conditions and drug therapy, In addition the product has no maximum age limit for new policy holders or those renewing the policy.

Bupa International’s Global Sales & Commercial Director, Tim Slee said, “we are delighted to be launching this new health insurance product, Explorer, adapted for the African market with Jubilee Insurance. Our experience in serving the African market for over 30 years and our global network expertise in designing world-class health insurance products for both individual and corporates will be key in providing access to high-quality international healthcare to the people of Kenya.

Under the plan, Jubilee Insurance customers will receive full cancer treatment to ensure that customers are supported at every stage of the treatment. In addition, there will be a cover available for eligible congenital conditions such as heart defects. “The new international health insurance product will offer our customers, locally and regionally, an expansive range of international medical health-care services through Bupa International, a health insurer of considerable repute and further demonstrates our aim to provide to the people of this region comprehensive benefits together with affordable, high quality healthcare service,” said Chairman of Jubilee Holdings, Mr. Nizar Juma.

The launch of the Explorer Health plan follows the strategic partnership that the two organizations, Bupa International & Jubilee Insurance launched in February this year which brings together Jubilee’s local knowledge with Bupa’s global healthcare expertise.

SatADSL to unveil satellite solutions for supporting the deployment of nation-wide cash machines networks at AITEC Conference

Belgium-based satellite service provider, SatADSL today launched new solutions for supporting deployment of nation-wide ATM networks in East Africa at the on-going AITEC Mobile Money Conference, COMESA being held at Nairobi’s Intercontinental Hotel.  

The new solution will allow Automated Teller Machines (ATM) operators and banks to deploy cash machines in small urban areas in East Africa where terrestrial communication services are either not available, unreliable or too expensive. SatADSL offers specialized products and services that are aimed at boosting the operations of financial institutions in Africa independently from any terrestrial infrastructure.

Speaking at the conference, SatADS Chief Operations Officer Caroline De Vos said the new solutions are specifically tailor-made for the African banking and financial community. The company is also in the process of recruiting partners distribute its products and services in the region. 

"Financial institutions often offer excellent service in the main cities where adequate telecommunications means are available: fiber connections, WiMax, etc. However, in remote locations where the population is less dense, telecommunication links may not be as reliable and are much less adapted to the requirements of financial institutions. That is where SatADSL comes in with specialised services to support the financial institutions’ remote offices as well as cash machines in performing according to their customers’ expectations,” she said.

Though traditional VSAT services, Caroline De Vos noted that the company is in a position to offer similar technical solutions at much cheaper rates and higher reliability than fiber connections and WiMax which are typically much more expensive and obviously secure enough for ATM networks.

The new service has been successfully demonstrated and is now commercially in use in three West African countries by several African banks that are planning large scale ATM deployments over the continent. The company is currently leading three new pilot projects for ATM deployment with banks in Ghana, Cameroon and Zambia. 

 The service allows for financial transactions to be carried out over satellite link in a reliable, secured and cost-effective way. SatADSL service connects the client applications in remote offices to the servers located in the company headquarters and other servers located in Europe and the US. SatADSL corporate service offering is built around SES Broadband service platform which provides high-speed broadband internet via satellite.

SatADSL is already offering reliable and low-cost satellite networking solutions to more than hundred money transfer offices of Express Union and EMI Transfer that are located in remote areas, bringing those financial services closers to African citizens.

According to Caroline De Vos, the company prioritizes the business-critical transactions with the guarantee that these transactions will always go through, with a reliable and financially affordable solution in both investment (CAPEX) and operational (OPEX) costs. Finally, SatADSL offers the most optimized solutions for reliable and cost- effective connection for off-site ATM terminals.

Caroline De Vos will be speaking on Thursday the 12^th of September at the AITEC Conference held at the Intercontinental Hotel, Nairobi, Kenya. SatADSL will also welcome the visitors, potential partner-distributors and customers at its booth A7a located just alongside the conference room.